DeepSeek vs. ChatGPT: what marketers need to know about AI’s latest challenger
With its cost efficiency and performance rivaling OpenAI’s ChatGPT, DeepSeek is shaking up the AI space. But will it disrupt the industry or remain a niche alternative? Let’s dive in.
While we were all busy giving and receiving angpao this Chinese New Year, a new AI player was making waves—DeepSeek. In a surprising turn, it quickly climbed to the top of Apple’s App Store downloads, surpassing ChatGPT and igniting conversations across the tech world.
With over two million mentions globally in just two days, DeepSeek has captured the attention of AI enthusiasts, marketers, and investors alike. Some industry experts are already calling it a potential rival to OpenAI’s ChatGPT, while others are questioning if it could shake up the AI landscape—including impacting giants like Nvidia, whose stock has already taken a hit.
So, what exactly is DeepSeek, how does it compare to ChatGPT, and more importantly, what opportunities does it present for marketers? Let’s dive in.
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Here is a table of content for you to find what you are looking for:
- What is DeepSeek?
- What is the difference between DeepSeek and ChatGPT?
- Will DeepSeek disrupt the dominance of ChatGPT?
- What opportunities lie ahead for marketers?
What is DeepSeek?
DeepSeek is a Chinese AI startup founded in 2023 by hedge fund manager Liang Wenfeng in Hangzhou, China—home to Alibaba and several other tech giants. The company recently introduced its latest R1 AI model, claiming performance comparable to OpenAI's ChatGPT.
What’s turning heads is how DeepSeek developed its V3 base model in just two months with less than US$6 million, a fraction of what AI leaders like OpenAI, Anthropic, and Meta spend.
In a statement on its website, DeepSeek boasts that “DeepSeek-V3 achieves a significant breakthrough in inference speed over previous models. It tops the leaderboard among open-source models and rivals the most advanced closed-source models globally.”
At a time when the U.S. is restricting China's access to advanced AI chips, DeepSeek’s rise is significant. It signals that cost-efficient AI models could challenge existing industry assumptions about the immense resources required to develop AI.
However, DeepSeek recently announced that it would temporarily limit new user registrations “due to large-scale malicious attacks”, though existing users can still log in as usual.
What is the difference between DeepSeek and ChatGPT?
According to CNBC, DeepSeek has developed proprietary AI models—DeepSeek-V3 and DeepSeek-R1—that claim to rival OpenAI's GPT-4 and Meta’s Llama 3 in both performance and efficiency.
One key distinction? Cost-efficiency.
DeepSeek delivers similar results at a significantly lower cost, challenging the idea that only billion-dollar investments can create high-performance AI.
“DeepSeek’s models reportedly deliver comparable performance at a fraction of the cost, challenging the narrative that cutting-edge AI requires massive infrastructure investments,” says Lierence Li, co-founder of Market Hubs.
While ChatGPT was built using Google's transformer architecture and Proximal Policy Optimization (PPO), DeepSeek relies on the Mixture of Experts (MoE) architecture, optimizing existing AI frameworks rather than developing entirely new ones.
Jacky Chan, CTO of Votee AI, explains: “Its achievement lies more in engineering efficiency than fundamental innovation.”
Despite DeepSeek’s efficiency, OpenAI’s ChatGPT still has an advantage in ecosystem integration and data diversity. ChatGPT has been trained on an extensive dataset with continuous global refinement, making it a strong choice for businesses that require AI with a broad knowledge base.
Nelson Tsai, solutions development director at Nexus Media Solutions, GroupM Hong Kong, notes: “While DeepSeek may rival in technical parity and cost, building the trust, ecosystem maturity, and enterprise-grade reliability to surpass ChatGPT will require more than a year’s momentum.”
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Will DeepSeek disrupt the dominance of ChatGPT?
Despite its rapid rise, experts believe that DeepSeek is unlikely to outright replace ChatGPT. Instead, it may carve out a niche by appealing to users who prioritize affordability and efficiency over ecosystem integration.
Market Hubs’ Li says: “Success hinges on sustained innovation, scalability, and global trust—especially given geopolitical tensions around Chinese AI.”
While ChatGPT is designed for a global audience, DeepSeek’s training data is primarily sourced from Chinese-language sources. This makes it less competitive internationally but a stronger choice for China-focused markets.
Timmy Kwok, head of performance at Omnicom Media Group, states: “Our marketing platforms, such as Meta and Google DSP, are integrated with global AI solutions. Transitioning from ChatGPT to DeepSeek presents challenges, even though DeepSeek’s operational costs are 20-50 times lower.”
Dominique Rose Van-Winther, CEO of Final Upgrade AI, predicts: “The broader trend leans towards a more distributed AI ecosystem where both proprietary and open-source models coexist.”
While DeepSeek may not replace ChatGPT globally, its open-source model could challenge OpenAI’s dominance in specific areas, particularly where cost-efficiency is crucial.
What opportunities lie ahead for marketers?
For marketers, DeepSeek’s emergence presents opportunities to diversify AI tools and reduce operational costs.
However, experts advise against relying solely on one AI provider.
GroupM’s Tsai recommends: “A platform-agnostic approach, leveraging the unique strengths of various AI platforms, is crucial.”
Some key advantages for marketers considering DeepSeek include:
- AI-driven content creation & automation – Marketers can generate content, personalize campaigns, and analyze market trends efficiently.
- Lower AI training costs – DeepSeek’s affordability allows businesses to transition from ChatGPT to a customized AI model tailored to their needs.
- Better Chinese-language support – As a Chinese company, DeepSeek may outperform ChatGPT in cultural nuance and localization for Chinese-speaking audiences.
- Unrestricted access – Unlike OpenAI, which faces restrictions in some regions (including China), DeepSeek can be accessed freely in markets where ChatGPT is blocked.
Market Hubs’ Li explains: “DeepSeek’s accessibility without VPNs opens opportunities in markets like Hong Kong, Southeast Asia, or even the U.S., where OpenAI’s services might be limited.”
The biggest takeaway? AI is becoming more accessible—it’s no longer a luxury reserved for enterprises with deep pockets. Whether you choose DeepSeek, ChatGPT, or another AI model, the key is to experiment, integrate AI where it adds value, and stay ahead of the competition.
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